This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

3 'Quite Attractive' Regional Bank Value Plays from UBS

Fifth Third Bancorp
Shares of Fifth Third Bancorp (FITB - Get Report) of Cincinnati closed at $12.72 Monday, returning 1% year-to-date, following an 11% decline last year.

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Based on a quarterly payout of eight cents, the shares have a dividend yield of 2.52%.

The shares trade for 1.1 times their reported March 31 tangible book value of $11.64, and for 8.5 times the consensus 2013 EPS estimate of $1.50. The consensus 2012 EPS estimate is $1.49.

UBS's price target for Fifth Third is $16. The firm on Tuesday raised its 2012 EPS estimate for Fifth Third by three cents to $1.51, "in order to account for continued strength in mortgage banking," while also raising its 2013 EPS estimate by three cents, to $1.63.

Scinicariello said that during the first quarter, Fifth Third's "run rates for fee income and expenses improved and it will be important for FITB to maintain these levels." Fifth Third's guidance calls for expenses to decline by $15 million during the second quarter from $973 million last quarter while UBS models "a $7MM reduction to $965.6MM."

The analyst expects Fifth Third's net interest margin to "decline by 8bps this quarter to 3.53% (slightly worse than the 5-6bps guided to) and would anticipate some improvement in forward guidance due to trust preferred redemptions (>$1.4B in 2012)."

Scinicariello also expects "loan growth (1.5% sequentially)" and said that "improved guidance on this front" from KeyCorp's management "could be a key driver."

Interested in more on Fifth Third Bancorp? See TheStreet Ratings' report card for this stock.
3 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BAC $17.44 -0.17%
C $54.08 -0.19%
CMA $46.38 0.25%
FITB $20.54 0.15%
KEY $13.16 0.15%


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs